Benefit cuts : Dundee could lose up to £21 million a year

17 September 2010

A report by the Scottish Local Government Forum against Poverty has revealed that cuts in benefits by the UK Coalition Government could take away between £17 and 21 million a year from claimants in Dundee.

Thousands across the city will be hit.

The figures come from a report from the Scottish Local Government Forum Against Poverty and from Rights Advice Scotland entitled “People, Councils, The Economy”.

It details the effects of the UK Government’s changes in the benefit system from now until 2114/15 for every local authority area in Scotland.

These changes resulting form the changeover in calculation of benefit add up to £2,819,355.

And so the overall total annual loss for Dundee is between £17,516,591 – £21,124,796

Jim McGovern MP commented,

“The findings of this report are disturbing but not surprising.

“Since the election we have been saying that the Tory ideological cuts will harm the poorest worst

“This report confirms that.”

“Whilst this new government allows the bankers that got us into this position away unscathed they are targeting the weakest and most vulnerable in our society.

“It is cities like Dundee that will suffer most.

“That is completely unacceptable.

“I will be continuing to raise these problems in Parliament, and I will do what I can to oppose the Tories and the damage their cuts agenda will have on my constituents.”

Marlyn Glen MSP said :

” Benefits payments will be hit by this “tax and axe” Budget , making many vulnerable people much worse off.

“The sharp rise in VAT of £400 a year for a typical household , will hit the poorest members of society most since it accounts for the largest amount of their tax expenditure.

“Public expenditure contracts, the source of much of the work that the private sector depends upon, is being hit badly, and it fuels fears of a double-dip recession that will put many more out of work.”